By: Ismael Rodriguez

Miami-based Lennar Corporation will buy rival CalAtlantic Group for $6 billion, creating the largest homebuilder in the country.

Lennar CEO Stuart Miller told the press the deal should rank the merged companies within the top three in 24 of the top 30 markets in the country. Lennar and CalAtlantic, when placed together, have reported revenues of more than $17 billion last year and a market cap of around $18 billion.

The real estate giant also expects to generate about $250 million a year in savings, including $75 million in 2018, according to Lennar. The combined companies will now control 240,000 homes sites and 1,300 communities in 49 markets across 21 states.

However, Lennar will assume a $3.6 billion debt that is added to the $9.3 billion deal, according to a press release by the company.

The merger itself will not close until the first quarter of 2018. CalAtlantic stockholders would own 26 percent of the combined company, and have the opportunity to cash out up to $1.2 billion.